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Case showTelefonica de Espana. Does your analysis lead to the same conclusions as Telefonicas managers? The textual matter explains SWOT as an acronym for Strengths, Weaknesses, Opportunities, and Threats. Strengths Telefonica is a monopoly at this metre because it is state owned and this is a major strength for them. The fact that Spains culture and language is homogeneous to the market in South America is a major advantage as well.Weaknesses According to the textbook the prices associated with Telefonicas service was high. Competitors were looking to exploit this by offering cheaper service with better technology. Companies who could lower their amplification margin are a major concern for Telefonica. Opportunities The deregulation of telecommunications in South America (with the pagan similarities as I mentioned before) seemed to be the perfect opportunity to enter this market and be successful.Threats Due to the legion(predicate) complaints from their customers Telefo nica faces many threats from competitors in this new market. There is a chance that they may not inhabit in this market if they do not provide better service and technology. 2. How would you characterize the corporate scheme adopted by Telefonica? 3. Minority investors in Telefonicas South American subsidiaries are unhappy with the parent corporation. articulate you are a senior manager at the parent corporation.How would you handle the problem with the minority investors? What would you propose to the CEO should be done about the minority investors? 4. The Latin American telecommunications market is growing more than faster (12. 6 percentage in 2007) than that of Spain or Europe, both of which grew at a 4. 9 percent rate in 2007. Should Telefonica have continued to focus on the Latin American market, rather than take over O2 and Cseky? What about its purchase of a minority position in China Netcom?